Net income and earnings per share including charges and costs for the current quarter ended June 30, 2001 were $1.7 million and $0.04, respectively.
The financial results for the second quarter, including the segment
information below, exclude costs associated with downsizing and realigning of
our Network Services unit and with redeployment efforts to limit exposure to
higher risk competitive carrier clients of $10.3 million ($0.12 per share) and
a $16.0 million ($0.20 per share) increase in reserves relating to receivables
from clients currently experiencing financial difficulties.
For the six months ended June 30, 2001, the Company reported net income of
$33.8 million or $0.70 per share on revenue of $667.4 million (excluding
charges and costs of $48.3 million or $0.60 per share) compared to
$30.1 million or $0.64 per share on revenue of $570.4 million for the same
period of 2000, excluding a net gain related to non-core assets. Net income
and earnings per share including charges and costs for the six months ended
June 30, 2001, were $5.0 million and $0.10 per share, respectively.
Datacom Network Services revenue was $276.5 million in the second quarter,
compared to $249.5 million in the same quarter last year. Operating margin
was 11.7% in 2001 compared to 14.2% in the same quarter last year. The
decline in operating margin was primarily due to adverse market conditions.
Energy Network Services revenue was $39.7 million in 2001, compared to
$36.9 million in the same quarter last year. Operating margin was 10.5% in
2001, compared to 9.5% percent in the same quarter last year.
Our Brazilian operations reported revenue of $14.0 million in 2001,
compared to $11.3 million in the same quarter last year and generated a loss
of $300,000 in both periods.
Backlog at June 30, 2001, was $1.4 billion, including master service
agreements, substantially all of which will be performed in the next
18 months.
We will continue to work on making our core business more efficient and
productive and reallocating our resources to our best long-term
opportunities, said Austin Shanfelter, MasTec’s recently appointed president
and chief executive officer.
For the third quarter ending September 30, 2001, the company projects
revenue of approximately $320 million and EPS of approximately $0.33. The
third quarter projections exclude a severance charge of $9.0 million related
to MasTec’s former chief executive officer. This severance is in addition to
approximately $1.7 million of compensation provided for during the six months
ended June 30, 2001.
For the quarter ending December 31, 2001, the company anticipates revenue
of $305 million to $315 million and earnings per share of approximately
$0.26 to $0.28.
SOURCE: COMPANY PRESS RELEASE
